Tadano to invest $10 million in first Thai crane components facility14 June 2013
Japanese hydraulic-crane manufacturer Tadano has announced plans to invest Bt310 million ($10 million) in the company's first manufacturing facility for crane components in Thailand.
Hoist understands that the new plant will be located in Hemaraj Industrial Estate in Rayong on the Eastern Seaboard. Tadano said it is aimed at serving strong demand in both Thai and overseas markets, including Asean, the Middle East, Australia and Africa.
The company plans to invest another Bt150 million for the second-phase expansion, due in 2015.
This year, the plant will primarily manufacture crane components for the domestic market. Exports will start next year.
The factory's initial capacity will be 1,000 units per year, expandable to 2,000 units a year in the next five years after plant/facilities expansion in 2015, according to Tadano chief executive officer Koichi Tadano, in charge of components for Tadano cranes and trucks.
"This investment in a manufacturing facility in Thailand is our first investment in Aseanas we look to tap the Kingdom's strong potential, especially in logistics and infrastructure. These strengths have encouraged our confidence to invest in this country," he said.
Tadano currently has manufacturing facilities in Japan, Germany, the United States, China, Brazil and India.
Koichi Tadano said that his company would cooperate with various truck manufacturers, such as Isuzu and Hino, in the production of completed trucks with cranes, which have been quite successful in Japan. The partnership with those vehicle makers is expected to start next year.
Tadano has three production lines: mobile cranes, manufactured in Japan, Germany, China and Brazil; cargo cranes, manufactured in Japan and Thailand; and aerial lift-platform and auger cranes, manufactured in Japan.
Tadano also has affiliated companies in 19 other locations worldwide and one distributor.
The company has appointed Italthai Industrial, a unit of Italthai Group, as its sole distributor for Thailand. The company expects its sales to reach Bt1 billion this year.
The demand for cargo cranes in Thailand is expected to grow at least 10 per cent if Thailand could develop into a major regional cargo-distribution hub under the Asian Economic Community.